Foreign Investors Sold US Securities, Equities in December

The US Treasury reported today that foreign investors sold a net $21 billion of long-term US securities in December 2011. In the previous month, foreign investors purchased a net $58 billion in long-term US securities.

Foreign investors were also net sellers of US Treasuries, agency bonds, corporate bonds, and equities in the month. Direct Chinese purchases of US assets totaled $31.9 billion in December. The total amount of China’s purchases is unknown because the country often trades through third parties in other countries.

The Department of the Treasury report is here.